Wednesday, 21 July 2021

Lesser-Known Features of your credit card You Must Know

 


Credit cards not only allow us to make desired purchases despite when we are short on reserves in our savings, but they also ensure that we increase the value of those purchases by providing benefits such as cashback, reward points, special discounts, and other perks at no additional cost if we pay off our total outstanding in full on time during each billing cycle. While many of you may have been using this payment method for some time, you may not be aware of a few key credit card facts. Let's take a look at a few of them to help you make better judgments.

One of the lesser known facts is, there are many credit cards that come with zero annual charges. For obvious reasons, when looking for a new credit card, most of us gravitate toward zero annual fee options. However, these no annual fee cards are frequently the most basic varieties with only a few benefits, whereas cards with annual fees come with premium perks and privileges. Complementary travel insurance upgraded loyalty programmes, exclusive discounts at reputable hotel and restaurant chains, and select e-commerce websites are just a few of the perks. When used wisely, the value proposition of such cards' incentives can easily outweigh the membership fees.

Most of you are probably aware that large-ticket items made using credit cards, such as electronics, appliances, and furniture, can be converted to EMIs at the time of purchase. Credit cards also allow you to convert qualified post-purchase expenses into EMIs to make them more affordable. This is a very useful function, however one should make sure they understand all applicable charges, if any, before using the EMI options. Most essential, make sure you pay all of your bills on time to prevent additional fees. Paying your credit card fees late comes with its set of penalty charges, so to avoid that make sure your pay your electricity bills on time.

Based on their assessment of the user's creditworthiness and income, banks and lending institutions determine the applicable credit limit associated with each credit card account. If you believe your card credit limit is too low, you can contact your bank and request an increase; nevertheless, the final decision will be made by your bank. Having a high credit limit, however, does not grant you permission to spend recklessly with your credit card. To ensure that your dues are paid in full each month, you must use your card responsibly.

Read Also - Where Can I Use Bajaj Finserv EMI Card?

Many banks and lending institutions also offer pre-approved loan offers on your credit card. They are frequently extended by banks to selected credit card holders. These unsecured loans may have interest rates ranging from 12% to 30% p.a., and their EMIs are frequently added to the total monthly card dues and are usually tied to the credit limit of the card. However, because such loans are pre-approved, they can be disbursed swiftly, making them excellent borrowing options in any type of financial emergency.

The Bajaj Finserv co-brand credit is one of the top selling credit cards that comes with a host of benefits. Also, the application process for the Bajaj Finserv cobrand credit card is simplified with the mobile app. You can easily convert your high-end purchases to simple and affordable EMIs with one swipe of your credit card. You can also avail an instant personal loan for up to 90 days at 1.16% interest on your credit limit. You can easily enjoy contactless payments of up to Rs. 5000 with a simple tap of your card. Also, you can withdraw cash from any nearby ATM at no interest for up to 50 days. You can easily manage your credit card expenses and keep track of your due dates with the mobile app.

 

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